8 Apr 2014 07:00
8 April 2014
reach4entertainment enterprises plc
('r4e' or 'the Group')
SUCCESSFUL BANK REFINANCING
The Board of r4e, the transatlantic media and entertainment company, today announce the completion of a successful bank refinancing.
The new agreement with Allied Irish Bank Group (UK) plc. ('AIB'), for which covenants have been agreed, establishes a six year term from 7 April and a new interest rate of 3 per cent over LIBOR, for r4e's £14.8 million revolving credit facility. Numerous capital repayments will be made over the term of the facility at amounts and dates specified in the facility agreement. The first repayment of £0.2 million is due in April 2015.
The new agreement replaces r4e's previous agreement with AIB, which was due to expire in May 2015, and provides a meaningful reduction in the interest rate against the Group's previous facility of 4 per cent over LIBOR, rising to 5 per cent over LIBOR from 26 April 2014.
Overall, the Board expects there to be an annual interest saving of around £220,000 in the year ending 31 December 2014.
ENDS
Enquiries:
reach4entertainment +44 (0) 20 7968 1655
David Stoller, Executive Chairman
Sarah Hall, Chief Operating Officer
Blytheweigh +44 (0) 20 7138 3204
Paul Weigh +44 (0) 7989 129658
Eleanor Parry +44 (0) 7551 293620
Cantor Fitzgerald Europe +44 (0) 20 7894 7000
Mark Percy (Corporate Finance)
David Banks / Paul Jewell (Corporate Broking)
Allenby Capital +44 (0) 20 3328 5656
Katrina Perez/Kelly Gardiner